Local commercial banks have proposed some extra and new charges on 14 services.
They are, among others, fees on frequent cash withdrawals, reactivating dormant accounts and higher account maintenance charges. They include minimum LC opening commission worth Tk 2000 which is a new proposal.
Cash withdrawals from savings bank accounts will be changed from fourth to tenth transactions.
They will have to pay Tk 100 per transaction, once the proposals are executed. The Association of Bankers, Bangladesh (ABB), an apex body belonging to the MDs and CEOs, submitted the proposal to the Bangladesh Bank (BB) recently.
Some services that are currently free, such as unlimited cash withdrawals in a month, would become chargeable under the proposal.
ABB says the changes are needed to offset rising operating costs driven by higher inflation.
However, the proposal has sparked criticism among ordinary customers, business chambers and trade leaders, who say that it would increase banking costs for all -- small depositors, borrowers, businesses, importers and exporters.
They argued that businesses were already struggling with high borrowing costs as tighter monetary policy keeps lending rates elevated in an effort to rein in inflation.
They also said that private sector credit growth dropped to a historic low and this will aggravate the situation.
jasimharoon@yahoo.com
